Commercial Investment Real Estate March/April 2013 - Page 23

startups from leases, giving them more time to assess their space requirements and the viability of their business plan. Independent commercial real estate professionals might also f nd coworking to be an attractive alter- native to working from a home of ce or leas- ing a small of ce. Commercial real estate professionals look- ing for new business should consider visit- ing nearby coworking facilities, especially incubators or accelerators, a variation on coworking for tech entrepreneurs. Uber, a ride-requesting app that has raised $50 mil- lion since 2010, started in RocketSpace, a Bay Area accelerator. T e company now occu- pies about 25,000 sf of class A of ce space on Howard Street in San Francisco. Visiting coworking spaces can also give commercial real estate professionals a glimpse into of ce design trends. A wider variety of of ce space at a coworking facil- ity can help draw a broader clientele. As a result, these facilities of en make creative allocations of space. Look Before You Book But commercial real estate pros should con- sider coworking’s limitations before recom- mending it to clients or booking space for themselves. Loosecubes, a highly touted and heavily funded coworking booking service, went out of business in November 2012, f ve months af er it received $7.8 million in funding. T e founders didn’t explain why they closed, but its shuttering calls into question the need for similar services. And not all markets are seeing the impact of coworking. New spaces are popping up across the globe, but they tend to be concen- trated in urban areas where rents are high. Tim Schaffer, executive vice president of RED Brokerage in Kansas City, Mo., says coworking hasn’t impacted office space requirements in his market. “In Kansas City, we have the luxury of liberally using space because rents are reasonable,” Schaf er says. Dennis LaMantia is interactive marketing manager at the CCIM Institute. Visit to learn more and register. MARK YOUR CALENDARS! CCIM SPRING BUSINESS MEETINGS APRIL 14 - 18 , 2013 CHICAGO, IL March | April | 2013 21